Earnings Per Share

The computation of basic and diluted earnings per common share is as follows:



	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(In thousands, except per share amounts)	2018			2017			2018			2017
Computation of Basic Earnings Per Share:
Numerator:
Net income	$	79,959		$	57,189		$	184,884		$	132,143
Income allocated to participating securities	(447		)	(402		)	(1,081		)	(938		)
Net income available to common shareholders	$	79,512		$	56,787		$	183,803		$	131,205
Denominator:
Weighted average common shares outstanding – basic	56,025			56,161			56,283			56,059

Basic earnings per share	$	1.42		$	1.01		$	3.27		$	2.34

Computation of Diluted Earnings Per Share:
Numerator:
Net income	$	79,959		$	57,189		$	184,884		$	132,143
Income allocated to participating securities	(444		)	(400		)	(1,073		)	(933		)
Net income available to common shareholders	$	79,515		$	56,789		$	183,811		$	131,210
Denominator:
Weighted average common shares outstanding – basic	56,025			56,161			56,283			56,059
Diluted effect of stock options and PVRSUs	405			344			505			357
Weighted average common shares outstanding – diluted	56,430			56,505			56,788			56,416

Diluted earnings per share	$	1.41		$	1.01		$	3.24		$	2.33

The Company's unvested restricted shares contain rights to receive non-forfeitable dividends, and thus are participating securities requiring the two-class method of computing earnings per share ("EPS"). The calculation of EPS for common stock shown above excludes the income attributable to the unvested restricted share awards from the numerator and excludes the dilutive impact of those awards from the denominator.

At September 30, 2018 and 2017, the Company had 1.2 million and 2.1 million outstanding stock options, respectively. Stock options are included in the diluted EPS calculation using the treasury stock method and average market prices during the period, unless the stock options would be anti-dilutive. For the three and nine months ended September 30, 2018, 0.1 million anti-dilutive stock options were excluded from the diluted EPS calculation. For the three and nine months ended September 30, 2017, the Company excluded 0.4 million of anti-dilutive stock options from the diluted EPS calculation.

PVRSUs are also included in the diluted EPS calculation when the performance conditions have been met at the reporting date. However, at September 30, 2018 and 2017, PVRSUs totaling 318,215 and 297,548, respectively, were excluded from the computation since the performance conditions had not been met.